National Savings & Investments

National Savings & Investments (NS&I) is a government department and an executive agency of the Chancellor of the Exchequer, offering several government-backed savings and investment options.

As funds are backed by HM Treasury, your money has 100% security – there’s no limit to amount on compensation if NS&I went bust (as this would mean the UK government would have gone bust).

NS&I changes its products often and at any given time you might find the following investment or savings account options:

• Income Bonds
• Premium Bonds
• Direct ISA (a Cash ISA)
• Guaranteed Equity Bonds
• Direct Saver – a savings account
• Investment account – a savings account you manage by post
• Fixed Interest or Index-Linked Savings Certificates
• Guaranteed Growth Bonds and Guaranteed Income Bonds
• Junior ISAs.

How do NS&I products work?

• Choose the type of NS&I product you want to open, such as a savings account, ISA or Premium Bonds
• Deposit your money – effectively lending it to the Government – to receive a return. This could be interest on your savings or tax-free prizes in the case of Premium Bonds.
• Withdraw your money when you need it, depending on the terms of the account. Some savings products are instant access. Others, such as fixed rate bonds, lock your money away for an agreed period, and apply a financial penalty if you want to get your cash out earlier
• Your money is backed by HM Treasury, making it safe and secure.
• NS&I also focuses solely on savings and investments, so unlike high-street banks it doesn’t offer mortgages or credit cards

Tax on NS&I accounts

National Savings and Investments (NS&I) offer a wide range of savings products including several tax-free savings accounts.

The accounts available include

• Direct ISA (Cash ISA)
• Premium Bonds
• Fixed Interest and Index-Linked Savings Certificates
• Junior ISAs